Credit Alternatives in Rural Finance : Rinancial Leasing

Enterprises use credit to acquire productivity-enhancing assets. Rural enterprises in developing economies, however, often lack access to the credit they need. Key reasons for this lack of access include the low level and scattered nature of econo...

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Main Authors: Kloeppinger-Todd, Renate, Nair, Ajai
Format: Brief
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2006/05/7009978/credit-alternatives-rural-finance-financial-leasing
http://hdl.handle.net/10986/9612
id okr-10986-9612
recordtype oai_dc
spelling okr-10986-96122021-04-23T14:02:46Z Credit Alternatives in Rural Finance : Rinancial Leasing Kloeppinger-Todd, Renate Nair, Ajai BRANCHES CENTRAL ASIAN COMMERCIAL LEASING COMPANY CORPORATION ENTREPRENEURS FINANCIAL INSTITUTIONS FIRMS INCOME INSURANCE LEASES LEASING LEASING COMPANIES LENDERS MEDIUM ENTERPRISES MICROFINANCE MICROFINANCE ORGANIZATIONS NONPROFIT ORGANIZATIONS POOR POOR INFRASTRUCTURE POVERTY ALLEVIATION PRIVATE COMPANIES RURAL RURAL AREAS RURAL ASSETS RURAL CREDIT RURAL DEVELOPMENT RURAL ENTERPRISES RURAL FINANCE RURAL TOWNS SUPPLIERS TAXATION TECHNICAL ASSISTANCE TECHNICAL SUPPORT TRANSACTION COSTS Enterprises use credit to acquire productivity-enhancing assets. Rural enterprises in developing economies, however, often lack access to the credit they need. Key reasons for this lack of access include the low level and scattered nature of economic activity in rural areas, the enterprises' lack of collateral, inadequate capacity among the country's lenders to lend in rural areas, and legal and policy environments that discourage lending to rural enterprises. Traditionally, leasing has served as an alternative to credit for urban enterprises, but generally it has not been a feasible option for rural enterprises. This paper argues that rural leasing can be viable and highlights the key factors to facilitate successful rural leasing, including the advantages of leasing, an enabling environment, and institutional support. The paper concludes that leasing is a viable tool to finance rural assets. 2012-08-13T09:05:48Z 2012-08-13T09:05:48Z 2006-05 http://documents.worldbank.org/curated/en/2006/05/7009978/credit-alternatives-rural-finance-financial-leasing http://hdl.handle.net/10986/9612 English Agricultural and Rural Development Notes; No. 10 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Brief Publications & Research
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic BRANCHES
CENTRAL ASIAN
COMMERCIAL LEASING
COMPANY
CORPORATION
ENTREPRENEURS
FINANCIAL INSTITUTIONS
FIRMS
INCOME
INSURANCE
LEASES
LEASING
LEASING COMPANIES
LENDERS
MEDIUM ENTERPRISES
MICROFINANCE
MICROFINANCE ORGANIZATIONS
NONPROFIT ORGANIZATIONS
POOR
POOR INFRASTRUCTURE
POVERTY ALLEVIATION
PRIVATE COMPANIES
RURAL
RURAL AREAS
RURAL ASSETS
RURAL CREDIT
RURAL DEVELOPMENT
RURAL ENTERPRISES
RURAL FINANCE
RURAL TOWNS
SUPPLIERS
TAXATION
TECHNICAL ASSISTANCE
TECHNICAL SUPPORT
TRANSACTION COSTS
spellingShingle BRANCHES
CENTRAL ASIAN
COMMERCIAL LEASING
COMPANY
CORPORATION
ENTREPRENEURS
FINANCIAL INSTITUTIONS
FIRMS
INCOME
INSURANCE
LEASES
LEASING
LEASING COMPANIES
LENDERS
MEDIUM ENTERPRISES
MICROFINANCE
MICROFINANCE ORGANIZATIONS
NONPROFIT ORGANIZATIONS
POOR
POOR INFRASTRUCTURE
POVERTY ALLEVIATION
PRIVATE COMPANIES
RURAL
RURAL AREAS
RURAL ASSETS
RURAL CREDIT
RURAL DEVELOPMENT
RURAL ENTERPRISES
RURAL FINANCE
RURAL TOWNS
SUPPLIERS
TAXATION
TECHNICAL ASSISTANCE
TECHNICAL SUPPORT
TRANSACTION COSTS
Kloeppinger-Todd, Renate
Nair, Ajai
Credit Alternatives in Rural Finance : Rinancial Leasing
relation Agricultural and Rural Development Notes; No. 10
description Enterprises use credit to acquire productivity-enhancing assets. Rural enterprises in developing economies, however, often lack access to the credit they need. Key reasons for this lack of access include the low level and scattered nature of economic activity in rural areas, the enterprises' lack of collateral, inadequate capacity among the country's lenders to lend in rural areas, and legal and policy environments that discourage lending to rural enterprises. Traditionally, leasing has served as an alternative to credit for urban enterprises, but generally it has not been a feasible option for rural enterprises. This paper argues that rural leasing can be viable and highlights the key factors to facilitate successful rural leasing, including the advantages of leasing, an enabling environment, and institutional support. The paper concludes that leasing is a viable tool to finance rural assets.
format Publications & Research :: Brief
author Kloeppinger-Todd, Renate
Nair, Ajai
author_facet Kloeppinger-Todd, Renate
Nair, Ajai
author_sort Kloeppinger-Todd, Renate
title Credit Alternatives in Rural Finance : Rinancial Leasing
title_short Credit Alternatives in Rural Finance : Rinancial Leasing
title_full Credit Alternatives in Rural Finance : Rinancial Leasing
title_fullStr Credit Alternatives in Rural Finance : Rinancial Leasing
title_full_unstemmed Credit Alternatives in Rural Finance : Rinancial Leasing
title_sort credit alternatives in rural finance : rinancial leasing
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2006/05/7009978/credit-alternatives-rural-finance-financial-leasing
http://hdl.handle.net/10986/9612
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